THE PREFERRED STATUS GRANTED TO THE 95 UNITS (2ND FLOOR TO 6TH FLOOR UNITS) means that they will earn their guaranteed minimum "dividends/share" as a rental commitment before other EGI units get the same share. The residuals wil still be distributed pro rata based on the "proprietary interest" of the participating units in the pool.
FACTS:
- The project has 19 units per typical floor for a total of 170 rooms & suites to include 2 Penthouse units.
- Total Units from the 2nd floor to the 6th floor is 95 units (45 Superior & 50 Suite Units).
The proprietary interest of each Unit in the building common areas and the land is:
a. For Superior Rooms-0.4394%
b. For Suite Unit- 0.5786
- The hotel shall be managed by a Professional Management Company.
- Furniture & Fixtures & Equipment Funds is a fund to be set aside intended to replenish/upgrade contents of Units in accordance with the American Hotel System.
ASSUMPTIONS:
- Hotel occupancy of the hotel is 45%
170 x 45 % = 77 rooms occupied
- Room night is at P 2,400
77 rooms x P 2,400 = P 184,800 x 30 days = P 5,544,000
SAMPLE COMPUTATION BASED ON ABOVE FACTS AND ASSUMPTIONS:
| Room revenue for one month, 45% occupancy, P 2,400 per room night |
| |
for 30 days |
|
P |
5,544,000 |
| |
Less estimate operating and
sales expenses (50%) |
P |
2,772,000 |
|
|
| |
F.F.E. funds |
P |
110,160 |
|
|
| |
Mgmt. fee (10-12%) |
P |
332,640 |
P |
3,214,800 |
| |
Margin for Distribution
|
P |
2,329,200 |
LESS:
For preferred units:
| |
50 suites @ 10,000 |
P |
500,000 |
|
|
| |
45 superior rooms @ 8,000 |
P |
360,000 |
P |
860,000 |
| |
|
|
|
|
|
For EGI units:
| |
27 suites @ 10,000 |
P |
270,000 |
|
|
| |
27 superior rooms @ 8,000 |
P |
216,000 |
|
|
| |
2 PH suites @ 50,000
|
P |
100,000 |
P
|
586,000 |
Residual for further distribution
|
P
|
883,200 |
| Additional share for Superior |
.4394% x 883,200 |
P 3,880.78 |
| Additional share for Suites |
.5786% x 883,200 |
P 5,110.19 |
|
